Tech Jobs Took a Big Hit Last Year (fortune.com)

Barb Darrow, writing for Fortune: Tech jobs took it on the chin last year. Layoffs at computer, electronics, and telecommunications companies were up 21 percent to 96,017 jobs cut in 2016, compared to 79,315 the prior year. Tech layoffs accounted for 18 percent of the total 526,915 U.S. job cuts announced in 2016, according to Challenger, Gray & Christmas, a global outplacement firm based in Chicago. Of the 2016 total, some 66,821 of the layoffs came from computer companies, up 7% year over year. Challenger attributed much of that increase to cuts made by Dell Technologies, the entity formed by the $63 billion convergence of Dell and EMC. In preparation for that combination, layoffs were instituted across EMC and its constituent companies, including VMware.

Comments

Leading Indicator

[sdinfoserv]

The economy cycles every 8-10 years. We're 9 years into a growth phase, it's only natural another recession is coming. Tech workers are a good early indicator. Outside of companies that sell tech, IT is just an expense. An expense that's the last to get hired in good times and the first to get cut in tough times. I in many areas corporate controllers are starting to tighten the check book - frozen hiring in some jobs, halted projects and consolidation are happening. Some industries were waiting for the election to strategic plan the next 36 months. They have it now and are belt tightening. Tech survived before and it will always survive. Be conservative with money and plan for a rainy day. It's the prudent life strategy.

What's the net?

[bluefoxlucid]

This is like saying I spent $30,000 last year, so my finances took a big hit. I actually had income, so you know... my debts were paid down, savings were built, and I spent $30,000.

The U.S. Technology Industry surpassed 6.5 million employees in 2014, and 6.7 million in 2015. TFA and TFS say there were 79,000 tech jobs cut in 2015, but there were 200,000 more jobs at the end of 2015 than there were at the end of 2014. Now TFA and TFS say there were 96,000 tech jobs cut in 2016, so I guess we're looking at a job growth of 243,000 in the sector?